Make no mistake, mobile home investing may cause you just as much grief and as many headaches as traditional real estate investments. Many unprepared investors overpay, over-improve, or undersell their investment mobile homes to high-risk renters or deadbeat buyers. Aim to make your real estate investing business as headache-proof as possible.
Below is a collection of tips from active mobile home investors to newer mobile home investors.
1. Keep the area safe.
There is nothing more important than your integrity and the safety and well-being of your renters, buyers, and tenant-buyers.
2. Plan for the worst.
Make sure you understand the worst case scenarios before you start out, so you can avoid them.
3. Know the law.
Make sure you understand the legalities in your state with regard to selling homes without a license, doing work on them without a contractor’s license, etc.
4. Have a plan laid out.
Understand your personal finances and what your goals are with mobile home investing (extra income, leaving the rat race, just having fun and getting experience, etc.).
5. Be ready to get your hands dirty.
This is a down and dirty, intense, “real life” business. Many beginning investors dream of using an army of virtual assistants to do all the work for them, but this is the wrong approach unfortunately. You need to have an attitude that you are going to jump in with both feet, get dirty, scare yourself, and engage in massive daily action and hustle.
6. Be honest with parks about your intentions.
Park managers and owners can be your best friend or worst enemy, so it is important they accurately understand your goals and intentions. This will save you stress later.
7. Make lots of offers.
This will get you the best deals and allow you to negotiate from a position of power. If you find yourself stretching to make a deal work, it’s because you don’t have enough other homes to make offers on. If your area is too rural to allow for lots of regular offers, branch out into other forms of real estate or other areas, so you don’t end up doing bad deals just for the sake of doing a deal.
8. Take it seriously.
Mobile home investing is a business, just as serious and potentially lucrative as any other business (or more so). You owe it to yourself, your loved ones, and your customers to treat it as such. Engage in professional accounting, understand the laws, and treat your buyers and sellers the way you would want a business to treat you—with the utmost professionalism.
9. Track your progress.
Keep tabs on the number of calls you make, offers you make, homes you buy, etc. This intentionality will lead to success, compared with just doing it willy-nilly, randomly, or reactively.
10. Take others with you toward success.
Some of your best real estate memories will be shared with friends, family, and business partners you are in real estate deals with. Success is a journey.
The Bottom Line
In conclusion, if you’ve been investing in real estate for any length of time and have talked to a number of other real estate investors, you begin to see a pattern. Real estate investors are all human beings. As human beings, we make predictable errors when it comes to making judgments about other people.
Utilize the help of this website with its articles, videos, and forums to ask questions and gain clarity in your marketplace to help others.
Original Source: Bigger Pockets